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can my parents pay part of the down payment for buying my house?

Posted: Fri Dec 16, 2011 4:55 pm
by happymister
I am planning to buy a house next summer.
Can my parents in India who are Indian citizens with no GC contribute some money towards the downpayment of the house?
do they have to give me a gift first ?
or can they pay the seller directly via Demand draft/check or whatever format is acceptable?

I am a USC - so I know that in Indian tax law, I can receive a gift from parents without tax.
In the US also, I presume there is no tax liability on both receiver and giver in this case
as per [URL="http://www.justanswer.com/tax/01e5d-international-money-gift-tax-question.html"]http://www.justanswer.com/tax/01e5d-international-money-gift-tax-question.html
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Is this accurate ?
in what form is typically the money transacted in such cases?

thanks.